Question: Please help with the final question I keep getting the number wrong On January 1 of this year Victor Corporation sold bonds with a face
Please help with the final question I keep getting the number wrong
On January 1 of this year Victor Corporation sold bonds with a face value of $1580,000 and a coupon rate of 8 percent. The bonds mature in four years and pay interest semiannually every June 30 and December 31. Victor uses the straight line amortization method and also uses a premium account. Assume an annual market rate of interest of 6 percent. (FV of $1, PV of $1. FVA of $1, and PVA of S1) (Use the appropriate factor(s) from the tables provided. Round your final answer to whole dollars.) Required: 1. Prepare the journal entry to record the issuance of the bonds. (If no entry is required for a transaction/event, select "No Journal entry required in the first account field.) Answer is complete and correct. Credit No 1 Date January 01 Debit 1,690.912 General Journal Cash Premium on bonds payable Bords payable OOO 110,912 1,500,000 2. Prepare the journal entry to record the interest payment on June 30 of this year. If no entry is required for a transaction/event, select "No journal entry required in the first account field.) Answer is complete and correct. Credit No 1 Date June 30 General Journal Interest expense Premium on bonds payable Cash ololo Debit 49,338 13,852 63,200 3. What bonds payable amount will Victor report on its June 30 balance sheet? Answer is complete but not entirely correct. VICTOR CORPORATION Balance Sheet (Partial) At June 20 Long-term liabilities Bords payable S 1,500,000 Premium on bords payable ls 97,045 IS 1,677,045
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